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Worldwide Exchange

News/Business. Ross Westgate, Kelly Evans. Ross Westgate and Kelly Evans consider the business stories that have global significance. New.

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Cyprus 32, Dell 10, U.s. 8, Us 7, Brussels 5, Europe 5, Ross 4, T. Rowe 4, S&p 4, Euros 4, Italy 4, Russia 4, Hertz 3, Greece 3, Blackstone 3, Banking Union 3, China 3, Moscow 3, Unicredit 2, Draghi 2,
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  CNBC    Worldwide Exchange    News/Business. Ross Westgate, Kelly Evans. Ross Westgate and  
   Kelly Evans consider the business stories that have global...  

    March 25, 2013
    5:00 - 6:00am EDT  

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in the quarter coming it's been a real good quarter, there are going to be a lot of people trying to protect their game. if we come in monday morning, watch "squawk on the street" and we'll talk about this, there's something the bears find they can talk about that's bad about cyprus, they will. we are looking for companies with really good earnings and we'll circle that and buy them. like i said, it is always more right here on "mad money." i'm jim cramer and will see you monday! welcome to today's "worldwide exchange." i'm ross westgate. here are your headlines. the a relief rally for european stocks. banks leading the indices higher after cyprus strikes a last-minute deal but the euro is already losing steam on the bounce. they've agreed to wind down the second biggest bank and the move won't go down well in moscow.
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>> the russians were understandably disappointed with this turn of events. this has come partly as a shock. >> and michael dell's bid for the pcmaker could be in jeopardy. carl ikahn and microsoft are rivaling offers. >> announcer: you're watching "worldwide exchange," bringing you business news from around the globe. >> all right. welcome to the start of a new weeks here on "worldwide exchange." kelly is not here. she's been doing an all-nighter in brussels. i think she was working. yes, they have been discussing cyprus. they've secured ads 10 billion euro bailout package after a long night of tacks in the belgium capital with international lenders. laiki bank will be wound down.
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uninsured deposits greater than 100,000 euros in both banks will be frozen and subject to a levy. bondholders are set to be wiped out. those t bank of cyprus will have to make a contribution to the bailout. now, there has been a relief bounce this morning. equity markets by and large down around 0.5% for the ftse and the zex ra dax. the ibex is up around 0.9%. the ftse mib up 0.5%. unicredit up 1.8%. santander up 1.8%, as well. you have to remember, actually, if we were surprised by the lack of negative impact on the investors last week, there shouldn't be a huge bounce on the resolution, either.
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1.2997 as far as euro/dollar. so a pretty small move on the euro after initially getting a bounce a little earlier this morning. we'll show you where we stand with the futures board at the moment. maybe we won't have u.s. futures. right. so there we go. thanks very much. currently trading above 50 points on the dow. we'll be looking at the s&p, likely trend over the summer months. we've seen this pattern over the last three years, big gains in the first three months and then
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a correction. we'll have a guest on a little later to tell us what kind of correction we can expect. but let's get the latest from brussels after those all-night talks. julia has been -- i don't know what she's been taking to keep herself going, but she joins us now. well done, jules. a long night. we're still lacking some detail. >> absolutely, ross. quite a lot of detail, to be honest. what we do know is that deposits at 11 is 00,000 euros or below are going to be protected. that addresses some of the uncertainty that we've seen over the last week. yes, there's going to be a wind down of the second largest bank, laiki bank. there will be a bailin of depositors. there will be a bailin of the senior bondholders, too. perhaps the ripple effect are knock on effects for the banks. they're going to raise money from that. the question then becomes just how much more cash do they need to raise? that then is going to involve a haircut on bank of cyprus depositors and the numbers that
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we've been seeing bandied around this morning between 30% and 40%. so, yes, we've got a lot of detail, but there's plenty more still to come. now, i spoke to the minister this morning, the finance minister this morning and i said to him, admittedly, you said this is a better deal for cypriot bondholders and -- sorry, not bondholders, depositors. but ultimately, it means a worse deal for the russians. have we actually had a conversation with the russians about this? here is what he had to say. >> ir rations were understandably disappointed with this turn of events. they have had a long successful and happy history and association with cyprus. this has come partly as a shock, despite the fact that many of the things have been rumored. comparing deals is not easy. they have different dimensions, different characteristics,
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circumstances change. i think this is a good deal. it addresses the issues more fundamentally and decisively and creates the prospect for a better future. >> that relationship is effectively over? >> no. i don't think it's over. in fact, i was just in russia and there were as many people who said we have been with you through good times and we're going to stay with you through bad times. and there have been others, of course, who said we are disappointed and maybe we look somewhere else. but, you know, we have very deep relation relations. russian people and middle class people that use cyprus because of the rule of law, common law, the double tax treaties we have. it's a mistake to think that it is a very special class, of very rich people. these russians have their lawyers, their accountants, many
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of them have their families living in cyprus. they have their friends. we have a relationship that can with stand a shock like this. >> bearing that in mind, are the banks going to open on tuesday morning? >> i cannot say that. i cannot say that. it's always a mistake to say something like this when you are not completely sure. there is a lot of work to be done. but they will open very soon. >> and how long do you intend to use the capital controls? >> that also i cannot answer. but, again, our objective to keep them as limited and as short as possible. >> and finally, you bypassed the democratic process of a parliamentary vote with this field. will you consider tendering your resignation when you get back to cyprus? >> no, no, we did not bypass the poll. we passed a number of laws two nights ago. we have kept party leaders ip
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forms almost on an hourly basis. so the democratic process has worked for the full extent. >> so this bailout deal is bypassing the need for a vote. they don't know how long these capital controls are going to hold and how long they're going to work. so yes, we have plenty of questions here and even more so over in cyprus. >> and on that poirnt, let's go the there. carolin has been monitoring results. carolin, have we heard, is anybody talking about the source of haircuts we might see on deposits? >> certainly there's a lot of speculation, but nothing has been confirmed at this point. they're talking about haircuts of 30%, 40%. ta that remain toes be confirmed over the next couple of days. what is for sure is that depositors are going to be
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losing a lot of money and that will lead to a decline in the money that is slowing around the economy and that means lower output essentially. so what we're looking at here in cyprus is that the retracted recession is not depression. let's continue with the discussion with professor pisteritus. thank you so much for joining us this morning. just how do you read the deal? did the germans win in the end? >> well, i would have to agree with you that what the germans wanted has happened in the end. it's an incredibly bad deal for the eurozone. cyprus is table because you are taking away from the island more than half its gdp. you're destroying small enterprises and the sector which accounted for 45% of gdp. expect unemployment to shoot up. we are not sure what the next step in this model is going to to be, but what has even wider
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implications is that the for the first time within the eurozone, depositors had to bail out ailing banks. and that happened in the 1930s. there were bank runs. we introduced deposit insurance. we introduced polling schemes for risk. in europe, we are headed for a banking union next year so that all banks could come together, pool their resources, recue each other out. just before it had completed, here you have a small country without much clout in europe and you are saying to them, go and sort out the mess yourself. not only that, the second ailing bank is now up to pay for the debt for the first one.
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so it could take any deposits you might have. >> you mentioned a very important point. i'm talking about what the future business model, the future model of cyprus as a whole will look like. the economy will have to reinvent itself. the model centering on offshore accounts coming from russia, that is essentially broken. what is next for the economy? >> the offshore banking sector has been broken for the time being. the economy has always arrived on two sectors. tourism will continue, of course. it needs to revive some of the things it's doing. agriculture, light industry, but there isn't much land around to be doing that. so i think what the next business model will be that will employ all of these hundreds of accountants, lawyers, is again going to be business services.
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we still have a very good corporate cessation. we have very good agreement with other countries. but i'm afraid cyprus will have to forget banks in attracting big deposits on which they make good money. they have to think of other services that businesses are going to need and grow that economy. focus on shipping or trade, that kind of thing. >> economists coming out this morning and saying that this economy could be facing a decline in gdp of more than 20% over the next five years. does that tell thaw we're going to be looking at a second bailout very soon? >> well, no. the way the bailout was done, it will take care of on it. i don't think we're going to see a second bailout, but we're going to see a long recession with high end unemployment of course, that involved refugees
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and if we just look at the economic implications, gdp came down to 25%. but then there was a rush to help by 5%. and within two years, they've covered those up. but this time, it's happening in a much more restrictive within within the eurozone without much help from outside. which was made clear and, therefore, it will take much longer to recovery. >> thank you so much for your thoughts this morning. guys, i just want to point out, in the background, you may be hearing a parade is going on. today is the national independence day from greece and it couldn't get more ironic because the reason why the banks have failed is largely because of the psi. >> carolin, has anybody there
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suggested it would be better to have exited the euro? >> there was an interesting statistic last week, a poll which was taken by one of the local newspapers. and it said that actually 70% of the people think it would be better to be he exiting the eurozone and greater involvement from russia would be a good idea. but at this point, an exit from the eurozone is off the table. >> thanks very much. >> from a market perspective, we didn't get hit a lot last week. we shouldn't expect much of a rally this week. >> the xhkts have have dropped 6, 7 points on the news. this morning, it looked like it jumped and took 7 points back. so at the end of the day, this is just -- we are seeing for
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what is the bailout turn that the government bonds won't be touched. so at the end of the day, it's completely different in respect of what's happening. >> the keeping is whether the read through -- what the principles -- when draghi said we'll do whatever it takes, they will do whatever it takes, including rewriting the rules, ignoring democracy, whatever it is, we will do whatever it takes. >> we started at the beginning of the crisis, no? whenever you need something, you do it. and despite it being difficult or anti-economical or not really democratic, it's going to be taken to try to save what is -- what looks to be good for the country. >> plenty more to come from you.
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meanwhile, let's just remind you what's happening in the asian session. they were trading on the way up to this cypriot deal. li sixuan has more for us out of singapore. >> thank you, ross. nice to see you. the cypress deal in brussels spelled relief for most asian bourses with the japanese market leading the charts. and the nikkei 225 rebounded 1.7% after the 2.4% drop last friday. financials made a comeback with exposure in europe. also got a boost with the likes of sony adding over 3% at the moment. sony is right here. and then the stocks also got an ex dividend this week propping up incentive. in china, the shanghai depositit ended such just a touch weaker. also corporate earnings. but china construction bank let the banking shares up 1.7% today. at the country's largest lendtory home buyers saw its
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2012 net profits up 14% on year. helped by healthy net interest income. and that ratio decreased to 0.1% from a year ago to 0 on.99%. mainland oil majors very much in focus today, lending support to the hang seng, up 0.6%. sinopec's hong kong listed shares gained 2.7%. its 2012 net profits fell less than expected 13% and thelts struck a deal to offset refining losses. meanwhile, cnoc shares jumped 4.2% today. the stock is trading at a roughly 15% discount to its peer. stocks rallied helped by a rebound in financials and ship builders. and it's a 0.5% gain on the aussie market with miners and banks ending in the green.
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india's sensex now still in action, trading lower by just a touch. back to you. >> thanks very much, indeed, sixuan. still to come, we'll have a look at a warm welcome in tanzania and what is at stake when we come back. carfirmation.
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size prus strikes an 11th hour bailout deal. depositors with accounts over 100,000 euros are set to take a hit, accounts still frozen. reports suggest blackstone and carl ikahn are tabling rival offered for dell. more on those stories throughout the program. another one we're keeping our eye on, the chinese president has received a warm welcome in tanzania today. he's kicking off a major charm offensive in africa. he's expected to unveil several key deals in the country, including a $10 billion port project, this according to the financial times. tomorrow, the chinese leader moves on to south africa for a bric summit. the continent is his second stop on his first trip abroad as china's president. analysts say it underlies
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africa's strategic importance of beijing as both a supplier of materials and a big marketplace. and still to come, russian depositors in cypriot banks are expected to take a large scale hit as part of the island's 10 billion euro bailout. could this spell the end of russia's haven? we'll have analysis, next. otherworldly things. but there are some things i've never seen before. this ge jet engine can understand 5,000 data samples per second. which is good for business. because planes use less fuel, spend less time on the ground and more time in the air. suddenly, faraway places don't seem so...far away. ♪ impact wool exports from new zealand,
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moscow has yet to react publicly to news that cyprus has secured a 10 billion euro bailout for lenders. russians are expected to take heavy losses as part of the planned levy on uninsured deposits over 100,000 euros. the question of russian involvement has drawn mixed reaction tr eurozone finance ministers in brussels. >> i understand that the russian government have a song relationship with cyprus from years ago and they're reducing the interest rate on that and is possibility extending the maturities on that. so that seems to be satisfactory. they certainly didn't move to
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five financial assistance to their depositors. >> i think they will be in contact with russian government, but there's been others. >> wa do you expect the russian government reaction to be? >> i have no idea. >> to the agreement, good night. >> now, we just had some news out from the german finance minister saying the new cyprus deal is much better from a german point of view than the one reached in the previous week. take that as you will. marchello. benadetti is still with us. we've been looking at the implications, what it means for the rest of europe. there is still no government. bersani right now is trying to see whether he can form a government. what is the most likely outcome in italy? and how long are investors in terms of looking at italian spreads likely to be pretty relaxed about it? >> well, i don't think they're relaxed. it's just a wait and see. >> price action.
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>> price action is following all the other price actions. i mean, the cyprus deal, we've seen even in the asian stock exchanges positive all over the world. obviously, italy, it's reacting positively and negatives against the general situation. >> yeah. >> today, it's positive all over. because whatever the deal is good or bad, it doesn't matter. we got a deal. the euro has been fine and so of. for what concerns the italian political stock, it's still a good question mark. so far, we think we're going to have a government sooner than later. and then we'll see if it's going to work or not. >> you think a government without another election is possible, they can bring together a coalition at the moment without an election? >> well, it really sdpents who they're going to be, the ministers, who are you going to support from outside the government.
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there are lots of -- three or four different -- >> permutations. >> exactly. we'll see. if not, we have to come back to general elections. >> okay. and how would investors view the prospects of -- >> general elections? >> general elections. >> we're going to drop probably another 70 basis points, we'll go back to 330, 350. >> that's manageable. >> well, it's where -- it's well manageable because we've already seen it. we are not going to come back to 7% or on 8%. >> good to see you. thanks for joining us. >> thank you very much. >> we'll take a short break. still to come, plenty more on cyprus. let's remind you of where futures are ahead of the wall street open a little later today. "worldwide exchange" continues after the break.
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you're watching "worldwide exchange." these are the headlines today from around the world. a relief rally for european stocks, cyprus strikes a last-minute deal with its international critters. the euro rally, pretty short
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lived. it's imposing a hefty levy on depositors with more than 1 00,000 euros, a move unlikely to go down well in moscow. >> the russians were understandably disappointed with this turn of events. this has come partly as a shock. >> michael dell's bid to take the pcmaker private could be in jeopardy. sgra you're watching "worldwide exchange," bringing you business news from around the globe. >> a very good morning to you. welcome to the start of your trading day. the news while you've been sleeping is cyprus has secured a 10 billion euro bailout package after a very long night of talks in brussels with international
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lenders. now, part of the deal likely will be wound down and deposit below 111 is 00,000 transferred with the bank of cyprus. uninsured deposits greater than 100,000 euros are now froze sxn subject to a levy. senior bondholders are said to be wiped out. those in the bank of cyprus will have to make a contribution to the bailout. that has meant that we've seen a bit of a rally for european stocks. futures are still pretty early this morning. currently 70 points above fair value. the nasdaq at the moment is up 13.5 points above fair value and the s&p 500 as well at the moment is around 8.5 points above fair value, as well. european stocks have losses for the ftse and the dax last week of 1.5%. the ibex is up about 11% and the ftse mib is up 0.5%. european banks by and large have
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been the biggest beneficiaries of the deal. deutsche up 2%. santander up 2%, as well. 11.5%, and unicredit up 0.8%, as well. as far as the currency markets are concerned, euro/dollar, 1 is.3040 currently trading around 1.3010. aussie -- slorl is firm. that is the picture right now. here is the thoughts of some of the guests we've had at cnbc today about what investors should be doing. >> if you want to try and pick a specific top, i think we can target 31.50 and we might see a chance to sell at those levels in the coming weeks. but we haven't seen that for a tu weeks now. the ground is falling steadily. and i think we'll come back off of that quite quickly. i think we can use euro strength as a reason to sell.
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>> turned positive tr equity markets and this is a general loss here in july and draghi said whatever it takes and is we've got a positive over christmas and i think it's going to be an economic upturn in the world. it is injecting a lot of money. with everything that's come on the table, they don't -- markets heavy much. still made in italy, cyprus will push markets down too much. >> it's something that i've literally purged from our portfoli portfolios. it's a little bit of a tricky one. it's more regional asset allocation going a bit more for the center of europe play, really. >> let's get another one with pierce curran.
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>> thank you. >> a pullback of a large chunk of those losses this morning. anyway, no cyprus exit today, so we don't have to worry about that. puts his back on the sort of -- i guess back on the fundamentals. the good question is, is there a correction coming or not for u.s. equities? >> well, i mean, i think there is. i've been looking at the patterns over the last sort of three years and every year, 2010, '11, '12 in the first half year, the top has come between the end of march and end of april. from that point, we've had a significant correction, 18% correction this 2010, 22% in 2011. smaller, but 11% last year. so i think the pattern is going to repeat and everything seems -- you know, we obviously have a strong rally to the upside. yes, we've got some pretty key positive fundamentals coming out of the u.s. particularly, but, you know, i think that there is inevitably going to be some period of downside. but i don't think it's going to
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be anywhere near as big as we've seen in the last three years. so you might get, i would say, a 5% correction beginning at some point in the next four weeks. >> and the sort of support you're talking about on the s&p is, what, 14 -- >> 1470. >> it was a 2012 high. that's a very important technical support. and we'll see. i mean, it depends what fundamental negative drive is down as to whether or not that's going to get breached. if it does, 1400 would be an area. but i don't think that would happen. >> so this point, as we come towards the end of march, is this the moment -- and we've got through cyprus, is this the moment to sort of position yourself for a potential correction? if so, how would u do it? how would you get some assurance on this? >> those who are not in stocks already don't get into stocks now. i think that's straightforward. if you are, there's nothing wrong with trimming a bit of profit, especially coming in this weekend of the quarter. i think you're going to see,
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perhaps, a little bit of that window dressing because it's been a good quarter for that asset class. as to whether or not you want to position yourself with a correction straightaway, that depends on your appetite or your expectations. but things like, still, safe haven, long duration debt, if you think about the last few years, if you'd been positioned in ten-year u.s. government bonds, you would have got double digit returns during the construction phase, during the stock construction phase. >> so if you had repeated at the rightish kind of moment as from bonds to stocks, stocks to bond every time -- >> the hindsight straighting looks phenomenal. >> yeah. >> so i think there's nothing wrong with getting a piece of that action again. but because the equity corrections won't be as big, in my opinion. the upside for bonds won't have been quite as big. i think also that perhaps -- well, i think the u.s. dollar is going to be a strengthening story throughout the year.
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>> is that because -- based on a growth differentials? >> yep. and monetary policy differentials as a result of that. i think that, you know, this cypriot thing has been a bit of a distraction in that they've got a deal done here. clearly for cyprus, this is not the end of the saga. they will now be put on a fiscal adjustment program that's going to go take them into deep, deep, deep recession. we've seen it with greece. >> yeah. talked about a 20% adjustment this real gdp. >> exactly. exactly. and so whether or not that's sustainable, i mean, it's just buying more time, right? there's only contagion risk in the eurozone crisis when the eurozone is still in recession. and they are. but by the end of this year, perhaps that won't be the case. perhaps the likes of italy and spain will find some growth. therefore, any flare-up in cyprus or greece in terms of the
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sustainability, it's a lot reduced. >> it's always good to see you. thanks very much, indeed, for that. current head of trading at amplify trading. still to come, will dell ever get a deal? we'll bring you the latest and what the newest roadblocks could be for the proposed buyout. [ male announcer ] this is not my home. there. i said it. they don't have pictures of my kids. they don't have my yoga mat. and still, i feel at home. could it be the flat screen tv? the not so mini fridge? ♪ the different free dinner almost every weeknight? or maybe, it's all of the above. and all the rest. am i home? nope. but it almost feels that way. homewood suites by hilton. be at home.
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cyprus strikes an 11th 40ur bailout deal. depositors with over 100,000 euros are expected to take a pretty big hit. accounts are still frozen. another twist with dell. blackstone and carl icahn are now tabling rival offers. is dell going to get a deal? the ceo michael dell still trying to take the pcmaker private. this is blackstone and carl icahn have sent in deals. both bids exceeded the buyout bid from dell and silver lake management. investors might hear tr dell's board on both plans as early as today. michael dell currently owns a 15.6% stake in the company. now, it's within four years
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and counting sings congress passed a budget. the senate has narrowly passed its first budget proposal over the weekend. $11 trillion in tax increase over the next ten years combined with spending cuts. the tax hikes combined with the cuts will start taking effect at the beginning of the month. and further developments in the jpmorgan london wales case. the u.s. department of justice is in the advanced stages of an investigation into former traders in jp morgan chase's chief investment officers in london. the doj is looking into whether trade is endwaged in criminal misconduct and deliberately mislabeled certain complex missions. and the sales of the latest
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smartphone for blackberry seems to be a buzzkill. it carried at at&t stores last week and will take bu on verizon's network this week. blackberry is set to report earnings this thursday. anapoly is adding to its list of technologies. wi-fi slam has been added to apple. it helps find locations when they are inside a building. last year, apple introduced its own mapping software to replace google's. the switch resulted in customer complaints and negative reviews to which the apple ceo tim cook has apologized. now, there's still numerous unknowns about the cyprus bailout, including exactly how much depositors will have to contribute to the package. this is what happened when cnbc's julia chatterly tried to elicit a figure. >> with the operation that's you're doing with the two banks, whether you're going to try and
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raise the 578 billion that you originally planned to with the bank levies or whether that's changed given the recapitalizations. and second question, do you recognize that what was seen over the last week perhaps has undermined the credibility of the european project, be it future political union, be it the banking union, and what do you do about that? >> on the 5.8, i would suggest that we all forget that figure because we're not using it any more. so we are pretty confident that we can do what's necessary on the side of the government with the 10 billion. what is necessary to restructure the banks. we can't say whether it will be 5.8 or more or less. that will have to be calculated on what after the restructuring has been worked out, what will
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be needed in terms of a haircut. second point is that the trust in the european project and banking union, i would say that the urgency for the banking union has only been proven from this whole situation and the urgency to get on with it, that's how i view it, anyway, has only increased. ♪ [ male announcer ] how could switchgrass in argentina, change engineering in dubai,
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this ge locomotive can tell you exactly where it is, it's carrying, while using less fuel. delivering whatever the world needs, when it needs it. ♪ after all, what's the point of talking if you don't have something important to say? ♪ the news out of cyprus in the early hours of the morning, they've secured a 10 billion bailout package after a long night of talks with international lenders. laiki bank will be wound down. depositors with over 100,000 euros will have their accounts frozen and their funds subject to a levy, the size of which we
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don't know. european equities have rallied back on the news, pulling back the losses of last week. the xetra dax up 1.2%. it was down 1.5% on the week last week. the cac 40 up 1.6%. the ibex up 1.2%. banks by and large have been the better performer on the back of that 2% average gains in the banks. jules was attending the late night banks awaiting for them to conclude. still looking bright eyed and bushy tailed, which is a feat in itself. a lot of discussion and a lot of focus, as well, on the strained relations now between parts of the troik, the imf and the european commission. where are there disagreements? and how problematic is this going to become? >> it's a great question, ross.
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the commission perhaps trying to go for more delaying tactic, perhaps, that we've seen in previous bailouts, whereas the imf far more detailed about making sure their debt sustainability is in place and we don't have to go through this whole process again. so that was what we were looking for at the press conference. and to be honest, there did seem to be a bit of tension, but we caught up with them after the meeting and just asked them how these two key elements of the troika are managing to get on. listen to what they had to say. >> we have a very good working relationship. like in all human relations, there is sometimes friction as you have a very difficult -- as we have had now. but very friendly terms. madam legarde and we continue to work. >> can you tell us about the future of the troika with regard to future bailout? >> the troika is doing fine. actually, there are two of us,
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you know? thank you very much. >> well, they actually said in the press conference this morning that they see each other more than they see their respective partners. so if you add that into the fact that there was all hugs and smiles after the press conference, definitely more than meets the eye. but you know what? we're not going to know until god forbid we see another bailout deal and we work out how that dynamic continues. back to you. >> thank you very much for that. plenty more to come. if you want to delve even deeper, plenty more on cnbc.com. and deals may have saved cyprus from exiting the eurozone for now, but how is it going to play out into the country? we have a slideshow from some of the more poignant events in the country over the next few days.
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the majority of cypriots said they would be happy to leave the eurozone. it was also the view expressed by the leader of the orthodox church in cyprus, as well. a reminder of what's on the agenda stateside today. the survey for march is due out at 10:30 in the morning new york time. new york fed president william dudley speaks at the economic club of new york at 12:15. as far as u.s. futures are concerned, we are set for a stronger opening at the start. currently caught up over 70 points for the dow. the nas nasdaq is currently caught up around 15 points and the s&p 500 at the moment is called up around 9.5 points. joining us from chicago, ben lichtenstein, president of traders audio.com. ben, good to see you. it looks like we're set for a bit of a bounce to the start of the week. the is anybody there thinking
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about taking some insurance on the downside? >> ross, last week was the first week that i can think of in months that we've seen significant sellside activity on institutional players. we saw a key reversal on friday. we traded below thursday's low but were unable to hold and sustain levels. we rejected those lower levels and closed above thursday's closing level. again, that signifies buyside activity at those lower levels and it signifies convictions to the upside. but we have a shortened week this week. this is the last week of the first quarter. and, again, i just have to really give the benefit of the doubt to the bulls for the most part. this market, although it's not charging higher in the way that we had been seeing it for the most part of this quarter, it still certainly held well bid. we're up on highs right now.
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we're significantly off the key support level of 1530 been we're testing all-time highs. so anybody who is doing that, anybody who is picking tops, anybody who is getting out on a limb, if you will, or trading their opinion versus trading the market has been hurting. because the market is telling you it's going higher. we're right on all-time highs right now. i think it's the nasdaq that we need to kick this above the 28 even level. >> one would expect, though, as is a shortened week and it's the end of the quarter. one would expect, you know, people to just sort of take their -- book in some gains right now. it would be good for the portfolio, right? >> well, i mean, in theory, yes, ross. but then again, you have to think about how irrational and how unusual this market has been acting for the most part in this rally up. and while i think that that is certainly potential, i think that, again, you have to keep an eye on some of the areas of value that have been established on the way up. as long as we're up above that
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1530 level in the swps, i don't see any major decay, if you will. certainly could be profit taking ahead of the quarter end. that's really anyone's guess at this point. but, really, the energy for the most part has been to the downside. as you can see, the volatility continues to remain very low. and, again, across the board, we're not seeing major breaks or breakouts, if you will, from upper lower levels of support and resistance. you look at the gold market right now, holding and very comfortable around that 1600 level. and you look at the currencies, the euro currency specifically holding around that 130 level. even amid all the uncertainty and concern. >> ben, good to see you. have a good day. the start of a you in week, ben lichtenstein, head of
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tradersaudio.com. that's it right now from "worldwide exchange." i'm ross westgate. coming up next, "squawk box" with the countdown to the opening of trade state stooid. whatever happens, we hope you have a profitable day. buy bye for now. [ male announcer ] just when you thought you had experienced performance a new ride comes along and changes everything. the powerful gs. get great values on your favorite lexus models during the command performance sales event. this is the pursuit of perfection.

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